Dairy industry and retailer merchandising collaboration is ‘recipe for success’ - research

By Mark Astley

- Last updated on GMT

Related tags Convenience store Dairy product Dairy

Dairy product sales increase through 'meal solution' merchandising
Retail merchandising displays that provide consumers with dairy-based ‘meal solutions’ could reap double-digit unit and dollar sales growth, US research has found.

The Innovation Center for US Dairy-conducted merchandising trial involved the development and execution of in-store 'meal solution' merchandising - providing meal planning support and a 'one-stop shop' to stock up on the ingredients needed for a recipe. 

The trial focused on three key meal occasions – breakfast, snacking and dinner – and capitalised on several current retail trends, including the resurgence of home cooking, ‘on-the-go’ convenience, health and wellness and cheap gourmet meal experiences.

According to the research report, Dairy Meal Solutions: Merchandising Solutions,​ unit sales of the milk-based dairy products sold across the displays increased by 28.8%, while dollar sales witnessed an average increase of 29.8%.

This was achieved without the use of promotional pricing or additional marketing support.

Retail-manufacture cooperation

Rebecca MacKay, vice president of strategy, insight and planning at Dairy Management Inc. – which helps build demand for the dairy products - has urged the US dairy industry to collaborate with retailers to develop and install these merchandising concepts.

“I think there is an opportunity here for retailers and manufacturers to work together on this,”​ MacKay told DairyReporter.com.

“Retailers currently do their shopper research. Manufacturers also do their own to understand what shoppers are looking for.”

apple and yog cartoon

“This is a real opportunity for retailers and manufacturers to marry their findings and deliver something unique to their customers.”

According to the report, meal solution merchandising can serve as an important tool – providing shoppers with “added value outside of cutting prices.”

MacKay added that all the retailers involved with the trial have begun implementing 'meal solution' displays in additional stores.

Some manufacturers involved in the trial have also begun work implementing this practice.


“I would like to see them used as a springboard towards bringing solutions for the shopper. It is an easy solution to firstly please shoppers and secondly increase sales,”​ added MacKay.

Leverage consumer trends

According to the research document, it is essential that retailers identify new strategies and leverage key consumer trends to remain competitive.

“With increased competition from alternative channels, grocers need to identify new strategies to stay competitive. Understanding and serving consumer needs is at the heart of protecting sales, and meal solution merchandising provides retailers the ability to leverage key consumer trends while providing shoppers with a more convenient option,” ​said the Innovation Center of US Dairy report.

“By adhering to the best practices identified through the Innovation Center’s merchandising pilot test and providing a thoughtful product mix, retailers have a strong opportunity to boost current grocery sales and protect future sales, including and beyond dairy,” ​the report added.

Related topics R&D Ingredients

Related news

Related products

show more

Custom Microbiome Solutions for Dairy & Alt-Dairy Products

Custom Microbiome Solutions for Dairy & Alt-Dairy Products

Content provided by ADM: Innovation that Feeds the Future | 13-Oct-2023 | White Paper

Backed by clinical studies and perfect for use in dairy and alt-dairy applications alike, ADM’s Active Lifestyle probiotic blend, BPL1™ probiotic, and...

Consumers Want Dairy—and More!

Consumers Want Dairy—and More!

Content provided by ADM: Innovation that Feeds the Future | 06-Oct-2023 | White Paper

In the thriving dairy industry, you’re well aware of the surging demand for both dairy and non-dairy products.

Flavor and Functional Ingredients in Dairy Beverages

Flavor and Functional Ingredients in Dairy Beverages

Content provided by Virginia Dare Extract Co Inc | 01-Sep-2023 | White Paper

Dairy-based beverages have innate benefits, like protein and indulgent texture, making them a popular choice for sports nutrition, energy, and personal...

Natural and Delicious Vanilla Solutions

Natural and Delicious Vanilla Solutions

Content provided by ADM | 13-Jun-2023 | Infographic

The world’s most popular flavor is vanilla - and ADM can bring that delicate taste and enticing aroma to life for your brands with sustainable and socially...

Related suppliers